Marginal Private Cost

Multiple Choice

Marginal private cost

A) is the cost of producing an additional unit of a good or service that is paid by the producer of that good or service.
B) is always zero if there is an external cost.
C) equals the marginal social cost only if the marginal external cost is positive.
D) is the cost of producing an additional unit of a good or service that falls on people other than the producer of that good or service.
E) the cost of producing an additional unit of a good or service that is paid by the entire society.